Wal-Mart eludes taxes

OK, to be fair, Wal-Mart isn't the only corporation that uses this trick. But there's a reason why some of the richest people in the world made their riches from Wal-Mart, it won't pay a dime it doesn't have to.

In this case, we're talking about a tax loop-hole. As much as I love to gnash my teeth and bang my shield at Wal-Mart, shame on the states for not figuring this out. If what Wal-Mart (and other companies) did was technically legal, the simple answer is close the loophole.


Of course, being America, some states are choosing litigious route. Unless they can show that Wal-Mart actually broke laws, it will just be a waste of money. Sure, companies may have known it was wrong to exploit the loophole, but it was an exploit that saved them millions and millions of dollars in taxes (remember that when you do your taxes).

The simple solution: make it illegal for a REIT to rent property to the owners of any shares of the REIT or to the employers of any share holders.